Forming a Company – 3 of 5 in Starting a Logistics Operation

Companies that plan revenue opportunities that may exceed a million
dollars in annual should consult an attorney, and a competent
Certified Public Accountant (CPA). A corporate structure is a must for
motor carrier (trucking) from medium and up. There are numerous
classification of corporation, so an attorney or/and CPA should be
consulted. Contracts of any kind is an agreement between two (2)
parties, and a breach of contract may have dire consequence.

Once
you know that you are ready to move forward through the Secretary of
State, select a “Fictitious Name”, which is the official name of your
business, and a “DBA”, Doing Business As. Create a positive presence,
promote your services on the social media, i.e. Twitter, Facebook. your
business.

You must contact the Internal Revenue Service “IRS” for your “Federal
Identification Number” for assistance in selecting the type of
business you will own, and the pros and cons of each for filing your
business and personal taxes. They range from a
Corporation…Partnership…Limited Liability “LLC”… S or C Corp.

The broker and carrier business can be risky when you factor in the
moving a load. The broker agrees to pay the carrier an agreed Dollar
($) amount for moving a load with a small profit margin for the amount
of money expended for fuel, permits, and travel time.

Scenario: In an average movement, the broker agrees to pay the
carrier am agreed amount to move the load from point “Origin” to point
“Destination”. It is assumed that the full amount of the debt or cost
is to the carrier.

View Point: When a shipper is unable to pay, particularly if the
shipper is deeply indebted the broker may be liable to pay the carriers
and the broker may be forced into bankruptcy. In many instances the
broker’s commission is only 10 to 15%. Just one (1) or (2) bad loads
could cost a broker thousands of dollars.

The corporate shield protects personal and/or business assets from
creditors, except when a principal signed as a “Personal Guarantor”.

Corporations:

Limited Liability Company or LLP are created and created and treated
differently, because they represent different liabilities issues
generally requires an attorney. Here are alternatives to these entities
for a corporation with associated cost savings for its formation.

Fictitious Business Names (d/ba)- The Business name is processed
through the Secretary of State in each state. There is no protection
against bankruptcy. A legal notice that in the local newspaper, an
article be posted declaring the individuals involved in the formation of
the company involved in the formation of the company and the place of
business is required to open a business checking account. Interstate
transportation is not subject to state and local sales tax.

Always make a call if uncertain on what type of protection is required for your business.

ABOUT OUR COMPANY

Transport Financial Services, LLC primary focus is providing support to carriers and brokers in the United State of America, Canada and Mexico.
TFS is ADA compliant.

Disclaimer: The views and opinions expressed on this website are those of the authors and do not necessarily reflect the official policy or position of Transport Financial Services, LLC, or any division of Transport Financial Services, LLC. Any data or information that appears on eTruckBook, TFSMall or Transportation.School is all publicly available via other sources. Transport Financial Services, LLC holds no responsibility for use of said data when used by other organizations and suggests that all data is cross referenced with do not call/fax/text/email lists. www.fcc.gov. You can call (Tel: 850.433.2274) a Transportation Professional anytime. We are on call 24/7 to assist you!

YOUR SHOPPING BAG

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. Please let us know if you have any questions.OkPrivacy policy